30 Oct 2024
IPPR and CPBN Reports Highlight Delays, Compliance Gaps, and Critical Procurement Trends Amid Mid-Year Review
The Institute for Public Policy Research (IPPR) reports that only 43% of public entities in Namibia have submitted their annual procurement plans for the 2024/25 financial year.
According to IPPR, of the 173 public entities required to file these plans, only 75 had complied by late October.
IPPR Research Associate Frederico Links noted that the low submission rate points to “considerable delays” in compliance, even as the fiscal year reaches its midpoint. Links reported that only 20 out of 33 central government offices, ministries, and agencies (OMAs) met the requirement to submit procurement plans, representing a compliance rate of 61% among OMAs.
“And then once again the issue of annual procurement plans remains a major compliance issue within the public procurement system, we still have a less than 50% compliance rate and we are halfway through the 2024/2025 financial year, so most public entities are not compliant,” Links said.
The report coincides with the release of the Central Procurement Board of Namibia’s (CPBN) half-year performance figures on October 23, detailing procurement activities and expenditures from April to September.
During this period, the CPBN approved 14 bids totaling nearly N$4 billion, of which 10 were awarded through competitive bidding processes, including open national and restricted bidding. These competitively awarded contracts were valued at over N$1 billion.
However, four contracts worth nearly N$2.7 billion were awarded through direct procurement methods, with approximately N$2 billion allocated to the Ministry of Health and Social Services and the Namibia Institute of Pathology.
The CPBN's regional analysis showed that it monitored the execution of 164 contracts valued at N$6.7 billion across various regions. The Khomas region alone accounted for over N$1 billion in project value. These contracts covered works, goods, consultancy services, and non-consultancy services.
According to CPBN’s monitoring report, 55% of the projects are on schedule, while roughly 10% are behind. Data for about 20% of the projects remains outstanding, signaling a need for stronger adherence to timelines and improved project management.
The report also indicated strong public interest in procurement plans through the e-Procurement Portal. The Ministry of Agriculture, Water and Land Reform recorded the most downloads with 973 views, followed closely by the Ministry of Health and Social Services with 697 downloads.